What is crowdfunding? crowd·fund·ing *ˈkroudˌfəndiNG/*

noun
 1. the practice of funding a project or venture by raising many small amounts of money from a large number of people, typically via the Internet.

 BIG IDEA

Create Momentum

A lot of crowdfunding campaigns generate buzz and excitement on day one, and then fizzle out as they go along. The three phases of any campaign is critical. The first pop at the start of the campaign by eager supporters, the dwindling  momentum towards the middle, and the last days of contributions is the reason 60 percent of crowdfunding campaigns don’t meet their monetary goal. This failure is attributed to many causes, but one of the biggest is the lack of consistent momentum.

THE PITCH

Have a Captivating Video

Traditionally, a solid demonstration for meetings with journalists, media outlets, and investors, gives your product validation and can help generate recommendations from leaders in your industry. People like to touch, feel, and see what you’re talking about. For example, a great demo gives them that opportunity.

You do not need to buy additional equipment. If you like editing on your computer, you can upload videos to Magisto’s website and edit from there. It’s easy to use for even the most novice video editor and this will be sure to help give your crowdfunding video an extra boost.

Other great editing tools:

THE GOAL

Communicate with your COMMUNITY

Crowdfunding means you never meet your backers face-to-face. For any contributors, there is a certain comfort level that comes with being able to look a campaigner in the eye and hearing exactly what they are planning to do with contributors money. Make sure to include contributors’ charts and graphs about the campaigns latest progress. Also, engage your community of supporters and keep them up-to-date on your project.

CROWDSOURCING

Stick to your Budget

It has been concluded that the $25 tier receives the most contributions and can account for a significant portion of your funding. Twenty-five dollars would be a good place to start when you are putting your tiers together. Ouya, a new kind of video game console, raised nearly $8.6 million during their Kickstarter campaign.

Below is part of their successful tier structure that helped them raise nine times their funding goal:

$10 – Reserve your username

$25 – Reserve your username and get a founder emblem emblazoned next to it

$95 – Get an Ouya and controller (early bird)

$99 – Get an Ouya and controller

$140 – Limited edition brown brushed metal finish Ouya (last week of campaign only)

$225 – Get an Ouya, 2 controllers with your username etched into them

COMMUNITY

Try, Try Again

Persistence is an age-old business strategy. If you aren’t successful the first time around, pick yourself up, figure out where you went wrong, and try it again. It’s fairly common in crowdfunding for a failed campaign to be re-launched several months after its first go-around.

BBNomics Crowdfunding Site:

  • No deadlines or goal requirements

  • Keep every donation you receive

  • No penalties for missing goal

  • 10-Minute email support

  • Mobile-friendly campaigns

More details below:

BBNomics Guidelines.

Check out ‘I Want To Crowdfund‘.

Do you have any questions or suggestion?

[contact-form-7 id=”596″ title=”Contact form 1″]

Posted on October 16, 2013 By BBnomics